Uptick Volume

DEFINITION of 'Uptick Volume'

The volume of shares of a security that are traded when the price is increasing. Uptick volume is used in trading strategies based on trends, with the difference between uptick volume and downtick volume referred to as the money flow. Stocks with positive momentum will trade at an increasing uptick volume as current trading prices are above the average price.

BREAKING DOWN 'Uptick Volume'

Uptick volume can be used in momentum trading or to be analyzed as resistance bands. In a scenario in which ticks are increasing, investors may look at a security as having more buyer demand than the number of shares being sold. This is a bullish strategy that depends on the continuous rise in prices.

RELATED TERMS
  1. Net Volume

    A term in technical analysis that represents a security's uptick ...
  2. Downtick Volume

    The share volume of a security that trades at a price lower than ...
  3. Uptick

    A transaction for a financial instrument that occurs at a higher ...
  4. Volume Analysis

    The examination of the number of shares or contracts of a security ...
  5. Up Volume

    A stock volume that closes at a price higher than the previous ...
  6. Down Volume

    A stock volume that closes at a price lower than the previous ...
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RELATED FAQS
  1. What is the Uptick Volume formula and how is it calculated?

    Learn more about uptick volume, a measurement of the number of trades that take place during a time when an asset's price ... Read Answer >>
  2. What are the best technical indicators to complement the Uptick Volume?

    See how uptick volume can be used to help confirm price trends from nearly every trend-following indicator, especially when ... Read Answer >>
  3. Why is the Uptick Volume important for traders and analysts?

    Find out why technical analysts and traders keep track of uptick volume to better assess the momentum of a stock's price ... Read Answer >>
  4. What is a common strategy traders implement when using the Uptick Volume?

    Learn how traders use uptick and downtick volume with VWAP cross to identify trends and momentum and identify points of big ... Read Answer >>
  5. Why is trading volume important to investors?

    Learn about trading volume, its importance and how investors analyze volume to confirm a trend or reversal in a security. Read Answer >>
  6. What is a common strategy traders implement when using the Volatility Ratio?

    Learn how to create a strategy using the volatility ratio with uptick volume and downtick volume to signal reversal of trend ... Read Answer >>
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